In: Accounting
Borrowed $50,000 from the bank Purchased $12,000 in supplies
Provide services to customers for $27,000 Paid the utility bill of $750
Purchased a delivery truck for $12,000 Received $25,000 from issuing common stock
C) it decreases cash flows D) it increases expenses
C) Its debt to equity ratio increases. D) Its current ratio decreases.
1. Option D increase assets and equity
2. Option D three, purchase supplies, paid utility bill and provide service to customerr
3. Option C
4. Option B increase revenue
5. Optin B current ratio increase as denominator decreases which contain current liabilities